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The financing strategy for acquiring an investment property is the key to understanding what property will work for an investor. One of the powers of purchasing a real estate investment is to use debt to increase an investor’s return. This is often referred to as “leveraging with debt.” Loans can be obtained from financial institutions (i.e., banks and credit unions). Loans can also be supplied by hard money lenders (i.e., private individuals and groups). Lastly, a seller of a property may be willing to finance the acquisition by the borrower.
If the strategy is to acquire debt from a financial institution, an important first step is to meet with a mortgage lender to determine the amount of money you will be able to borrow. Two recommended lenders are:
Austin Capital Mortgage
Charlie Cooper and Jeff Wilkinson
512-899-2550
www.austincapitalmortgage.com
Leahy and Associates
Ryan Leahy and Leslie Kothe
512-380-1922
www.leahylending.com
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